Financial Secretary John Tsang has proposed a plan to take advantage of the national “One Belt One Road” initiative to boost Hong Kong's industries up the value chain.
Delivering his 2015-16 Budget today, Mr Tsang said a two-pronged approach should be adopted to further develop Hong Kong's pillar industries - trading and logistics, tourism, business and professional services, and financial services - to capitalise on the new opportunities created by “One Belt One Road”.
"The Central Government has put forward the initiatives of building the Silk Road Economic Belt and the 21st Century Maritime Silk Road, or 'One Belt One Road'. These economic co-operation corridors, spanning different regions in Asia, Europe and Africa, will promote co-development among countries and foster co-operation in the political, economic and social areas.
"We need to capitalise on today’s opportunities to add value to our already competitive pillar industries, keep pace with the times and get ready for challenges, taking a role in fostering China’s prosperity."
The initiatives feature five links in the arenas of policy, facilities, trade, capital and culture.
"Many countries along the 'One Belt One Road' have great development potential. To strengthen trade ties with these markets, Hong Kong should expand co-operation, organise exchange visits, gain a deeper understanding of these countries, as well as pursue negotiations on Free Trade Agreements, Investment Promotion & Protection Agreements, and Comprehensive Avoidance of Double Taxation Agreements.
"Trade facilitation and investment promotion to secure business opportunities in various aspects should also be developed."
Mr Tsang said Hong Kong can work with Mainland provinces and municipalities to stage roadshows in these countries to facilitate trade and investment flows for regional economic integration.
"This will create more favourable conditions for our goods, services and investment to access overseas markets."
Mr Tsang said Hong Kong's wide range of professional services in the financial and legal arenas can help Mainland enterprises take advantage of “One Belt One Road”.
"Last October, over 20 countries signed a memorandum of understanding in Beijing and formally announced a plan to establish the Asian Infrastructure Investment Bank. We shall endeavour to leverage our strength in financing and asset management to support its establishment and operation, and pursue actively the possibility of our joining AIIB," he added.
